The caretaker government is reportedly considering a significant hike of Rs8 per litre in high-speed diesel (HSD) prices during the upcoming fortnight revision of petroleum product prices.
In contrast, the price of petrol is anticipated to remain unchanged at Rs272.89/litre, following a recent increase of Rs13.55 per litre on January 31. The expected rise in the HSD price, effective from February 16, factors in premium and exchange rate adjustments, potentially reaching Rs293/litre compared to the current price of Rs285/litre.
This fortnight’s adjustment calculation considers the existing petroleum levy and general sales tax rates. The potential hike is influenced by Pakistan State Oil’s (PSO) payment of a $9.43 per barrel premium on petrol, slightly lower than the previous fortnight’s $9.47, and $6.50 per barrel on HSD.
Forecasts suggest an estimated exchange rate adjustment of 50 paisas on petrol and Rs1.70 per litre on HSD. Kerosene oil prices are expected to remain steady, while light diesel oil (LDO) might witness a modest increase of Rs2.50 per litre.
Internationally, Brent oil has risen by approximately $1.5 per barrel, reaching $83 from $81.55 per barrel since February 1, while HSD prices have increased by about $3 per barrel.
The Oil and Gas Regulatory Authority (Ogra) has yet to determine the recommended fuel prices for the first half of February, considering monthly tax targets and estimating the Pakistan State Oil (PSO) fuel consumption and supply costs.
